Navy Federal Credit Union

Customer Commitment

Here's my letter to the Board of Directors, CEO, and VP of Real Estate lending that for some reason think I would ever do business with them again.

I started banking with NFCU in 1989 as a new USMC second lieutenant. During those twenty years NFCU mortgage products were never superior in terms compared with local bank mortgages. Thus, I have always financed my home through local banks wherever the Corps sent my family.

With the nation’s recent economic dilemma, mortgage rates dropped to very attractive rates at the turn of the 2009 New Year and I decided to refinance my homes. I was shocked when the NFCU representative said NFCU would not subordinate the Home EquityLine if I refinanced. Curiously, USAA Federal Savings Bank subordinated the Home Equity LOC I carry with their institution. Your representative proudly stated that NFCU did not accept any T.A.R.P. funds. Similarly, USAA F.S.B. and my new local mortgage lender did not need T.A.R.P. funds. The NFCU representative mentioned that LOCs are not being subordinated, “in order to protect the assets of Navy Federal”. Wow! I thought I was an NFCU asset. After all, NFCU’s website states, “Stop Banking, Start Belonging”.

My new mortgage lender was amazed that my credit union would not subordinate for a twenty year customer with an 800+ numbered credit score. I would love to keep my NFCU Home EquityLine open. Since NFCU will not subordinate the LOC to this refinance, the LOC must be closed. But since NFCU is forcing me to close the LOC due to lack of subordination, somehow I am required to reimburse closing costs for the LOC. “Start Belonging” as your website proclaims…to what?

For being a loyal customer for twenty years I thought surely reimbursing closing costs could be waived. When I returned a call on 23 February I spoke with an NFCU representative and was given the same standard reply. I asked for a supervisor. I was connected and given the same standard reply. I mentioned to the supervisor how insulted I was at NFCU’s LOC policy especially since I have banked with NFCU for over twenty years. I told the supervisor he should waive the required reimbursed costs or that I would no longer bank with NFCU. I was floored when he demanded that I provide him an apology for giving him an ultimatum.

Wow! How NFCU has changed over these twenty years. I will now be banking totally with my local bank. They told me they love having twenty year loyal customers. I will be closing my accounts soon with your institution. I will also be sending a copy of this letter to the NFCU Board, CEO and numerous others who might be concerned with NFCU’s policies and level of customer commitment.

Good Luck

These folks are not serving the military member like their charter proclaims.

Ok, let me clarify your situation, when you accepted the Equity LOC and didn't have to pay a penny in closing cost with agreement you would keep it for a certain amount of time or repay you had no problem; but when you couldn't get your way you threw a fit and when your tantrum didn't work you decided to threated and now you are complaining? How would you feel if Navy Federal requested for you to pay them for a service you didn't recieve and then threw a fit threatning to close your accounts if you didn't give pay us for something you didn't recieve? You see my point? Tantrums and ultimatums get you nowhere. Navy Federal doesn't threaten to throw you out of membership because you choose to go somewhere else for your mortgage all those years, we accepted the business you gave and treated you fairly. If USAA could offer something they couldn't...fine...go with USAA. However, that gives you no reason to be angry because you couldn't threaten your way out of a situation.

Quitbitching - hmm..."we accepted the business you gave." What a professional user name for an NFCU employee. Quitbitching' s post confirms that instead of listening to members - NFCU goes on the defensive and continues treating members like crap. In addition to this bad treatment of "members" I've also been subjected to extreme cases of incompetence by NFCU which took months to resolve for each case. Though it was always NFCU's error - no apology was received. I agree, NFCU is not what it used to be. The number of members leaving for local banks is growing because the local banks are now doing what NFCU used to do 20 years ago - treat customers as having value and providing the customer service expected.

I am surprised by all of these comments being made about NFCU. I have had my own problems with them but, I’m still surprised to see this many comments. I never guessed that there would be so many disgruntled people out there willing to write about their negative experiences.

NFCU has essentially terrorized me over the last two years (including while in bankruptcy). Frankly, nobody deserves to be treated like some of us have been treated. While I take full responsibility for not completely fulfilling my obligations, I've paid off multiple loans and paid thousands of dollars in interest to NFCU. Nothing justifies treating anyone the way that I have been treated. When my financial "crash" came I made it a point to call NFCU twice a week for more than a year prior to filing bankruptcy. I mostly called them so that they wouldn't keep calling my family members and harassing my neighbors.

One evening last year, at 9:30PM, NFCU sent a “door knocker” to my home. I’ve since learned that a “door knocker” is a collection industry term used for a contractor who places door tags onto the handle of your front door. These tags typically say that they want to speak to someone in the household. The “door knocker” pounded and kicked on my door so hard that, for a minute, I thought that it was a home invasion (I still have the dents on my door). I think that he kicked my door because the dents in my door are on the lower portion of my door. I was able to talk to the “door knocker” through the front door. He stated that he was working for NFCU and that I needed to call them. I told him that I had just talked to NFCU the previous day and that I was going to complain about his pounding on my door. He basically told me that nothing would happen to him and that he would not get in trouble because he was just “following orders” given to him by NFCU. I told him not to return to my home again and that I was going to call the police. He then ran to his car and drove away. While I was not able to get his license plates, I did call the Fairfax County police and gave a description of the "door knocker" and what had happened. They indicated that they would make a report and for me to call earlier next time so that they would have a chance to question that person at my home.

It was this incident that, not only scared the heck out of me but, caused me to realize what was actually going on. I had noticed that although I had been calling NFCU twice a week for 6 months or so prior to this incident, NFCU was still calling my neighbors and my family to harass me. They repeatedly called my in-laws, siblings and mother. I’m sure that they called others because most people would not probably want to add to my own embarrassment by telling me about their NFCU calls. At the time, I felt humiliated and too embarrassed to do anything about this harassment. I was (and still am) trying to focus my energy on getting a job. I did write the Chairman of NFCU to complain and explain my situation. My letter to the Chairman basically apologized for hurting the members of NFCU for not meeting my obligations and (most importantly) to ask NFCU to stop using illegal collection techniques to bully and harass me. I even wrote that I thought NFCU would collect more if they followed the law.

At this point, I have had it! I have gotten to the point where I actually feel ashamed for not standing up to them earlier. I've caused my family a tremendous amount of pain due to my economic situation as it was and is. It wasn’t right for my family to have to experience the unbelievable behavior associated with NFCU’s collection activities. All of my creditors had essentially cooperated with my financial situation except NFCU. NFCU is the reason that I filed bankruptcy in the first place! I didn’t have any money to pay anyone anyway! During bankruptcy, I had to submit to a deposition requested by NFCU (more NFCU harassment!). During the deposition the lawyer from NFCU kept asking me about my disabled daughter. That was unbelievable! I had essentially given up my ability to get a security clearance by filing bankruptcy and I was still being subjected to the wrath of NFCU.

At this point, My home is being foreclosed on (finally), I am broke, I have no job, I've got a disabled daughter who has substantial medical needs (she’s still wonderful and I wouldn’t trade her for all of the money in the world!), a wife and a son to take care of (they are also awesome!).These realities are NOT NFCU's fault but, I now have nothing to lose and perhaps I have learned a valuable lesson about how to appreciate what I do have (an awesome family and the sun coming up in the morning). I’ve also learned that one should never run away from “BULLIES AND THUGS! The pain and shame only get worse!

I've decided to remove myself from bankruptcy (I should never have filed in the first place!) and take NFCU to court to try to keep them from harassing others like they have harassed me. It's the least I can do for my own health and to give back to those who may suffer in the future. I'll spend half my day looking for a job and the other half dealing with NFCU in the courts. I will probably lose, but I will do a more honorable job of getting my point across and at the end of the day it’s the right thing to do.

My story is true and I'll put my hand on the bible to swear that it is (just like I will in a courtroom soon enough). I’ve got a bunch of faxes, letters (some certified) and all sorts of notes related to phone calls that will help substantiate the immoral behavior and treatment I received from NFCU. I ask that anyone who has a truthful story that they are willing to share about their experiences with NFCU to please contact me at nyquil762@gmail.com. You don’t have to talk to me if you don’t want to. You can just share your story in writing anonymously. I realize how embarrassing these issues are to communicate and I don’t think there is anything wrong with keeping them private. Some of you may feel better by just communicating your thoughts to me (kind of like writing a letter when you’re angry and then ripping it up when you are finished). I promise that I will not share your emails or our conversations unless you want me to.

And to anyone out there who works for this group of "GANSTERS” and or agrees with the behavior that NFCU has used to bully me and others", I'LL SEE YOU IN COURT! Thank you for your time and gob bless. Nyquil762 otherwise known as at Mark in Virginia. I’ll publish my full name after the lawsuit is filed.

Don't let the NFCU fool you that it is serving it's members proudly, they love to hit you with excessive fees when they can, they are misleading and unhelpful offering pathetic Customer Service. Finding another institution is a better alternative.

We have been with NFCU many years now and have used NFCU for car loans, checking, savings, credit cards and other services. We have had no complaints in the past. However, going through NFCU to get a VA home loan has been the most traumatic and disturbing experience I have ever had, including the loss of my parents.

We went through the loan application process and received our pre-approval very quickly. Then the process of document-gathering began. I began working with a loan officer in the Pensacola branch named Ms. C. I began emailing her the required documents at her request. She was pleasant enough, but obviously did not know the necessary information to process a loan. Plus, every time I called in to ask a question, it was a very frustrating experience. I would dial in to the number Ms. C gave me, and with two exceptions, I got a different person each and every time. I would then have to go through my whole story of where the property was, what my question was, and the loan officer who took the call would invariably tell me, “I’ll have to review your file and call you back.” When you are working within a defined timeframe as with a mortgage loan application, this is very disconcerting. I do not understand why NFCU cannot assign a two-person team, as it were, to be accountable for each mortgage application. The applicant would then have an expectation that, when they call in, they’d know whom they were speaking with and that the loan officer was already acquainted with their file, thereby saving everyone valuable time.

At one point, I called in to ask a question and the loan officer I got asked me to send in documents that had been sent two weeks prior. She asked, “Where did you fax it to?”

I said, “I did not fax them. I emailed them to Ms. C as I had done with all the documents so far.”

The loan officer said, “Well, Ms. C isn’t here right now so if you emailed them to her, they only go to her email account. I can’t see them.”

I said, “Do you mean to tell me that, if I email these documents to one person, that person is not either saving them to a shared drive on your computer network or printing them out as a hard copy for a file to which everyone has access?”

On 20 January, I called in to ask a question, once again getting a new person who assured me she worked in the loan department and could help me. After getting my information, she asked, “If this a new loan?” I said, “It is a loan in process. We are closing a week from this Tuesday.”

She then informed that she “could find no record of our loan.”

I find that extremely reprehensible as a business practice. Going through the mortgage loan process is stressful to begin with, but working with people who you assume know the process and finding out that they know less than you do, does not inspire one with confidence.

When I had paid for our homeowners’ insurance for a year, I was told by Ms. C that we were $138, 000 under the requirements for NFCU. After calling back to USAA and talking to the insurance representative there, we figured out that, Ms. C was trying to have us insure the property for the amount of the home appraisal.

At this point, on 27 January, I called in to a toll free number for NFCU and asked to speak to a loan supervisor. A very nice woman helped me (and I am sorry I do not have her name) and called the Pensacola Branch. There were two loan supervisors there who went over our loan and a Ms. Mc got back to me to say that the homeowners’ insurance, was, in fact, correct. She assured me that we would close on time (9:00 AM on 31 January, 2012).

As I write this, it is 11:57 AM on 30 January and we have no HUD Statement of Closing Costs.

...And I thought I was the only one that had problems with the loan department. I also have an 800+ credit score, a current home loan with a perfect payment record, and previously- paid home loans. I just applied for an interest reduction refinance, and requested the VA Energy Efficiency Loan to replace an old furnace. The new rate would drop my payment by about $250 per month. They have went out of their way to add non-VA required actions, in an apparent attempt to keep from doing the additional paperwork. When asked why, I was informed the loan supervisor felt that "people cannot be trusted to provide certain informaton about their homes" ... the information was actually supplied by my electric company and was accurate. I told them I was personally offended by their suggestion I along with other members could not be trusted. I have been a loyal member for over 30 years also. I want to contact the board of directors also, but cannot find the contact information, even after asking for it my email. Can somebody post this information for me???

I have been a NFCU "Member" since 1988. I have never missed a payment to them for any loan or credit card. I have never even been late for a payment. I used NFCU mortgage to buy a house in AZ. 4 years later my mother in GA, got really sick, so I applied for and got a job near her. I rented out the house in AZ for less than the mortgage because that was the going rate at the time. After 3 and a half years of renting the house out, and making repairs over and over, I got a HARP loan to lower the interest rate. Even with the lower payments I was still losing money each month. I decided to sell that house and cut my losses six months later. I put the house up for sale and got a cash offer of $5000 more that NFCU estimated the house to be worth six months before. NFCU then decided the house should be selling for $30, 000 more than the offer, effectively taking the house off the market. No one will buy an almost 10 year old house for more than they can buy the exact house for new, in the same neighborhood. I looked and found new and bigger houses in the area for $20, 000 less than NFCU demands this house be sold for. What do they care if I loose my savings on this house, they are getting paid. Why would they not take the deal? Because their bonuses are tied to how much they make the "Bank" no credit union. They haven't been a credit union for a long time.
Years ago I got a credit card from them at a good rate (about 2% less than Bank of America offered me) I asked for a $5000 credit limit, they gave $10, 000. I should have gotten it reduce, my mistake. Two years later they up it to $25, 000. Again I did nothing, bigger mistake. I put my daughter on it, who was going to college abroad, so that she would never be without if an emergency came up (biggest miskate). She used it a lot, but no big deal I'll just pay it off, by tripling my payments. NFCU then mor than double my interest rate. Their answer for my question of why?, was that I have too much non-collateral credit. Credit that they gave me!
NFCU is no longer in the business of helping their "member". Now all they want are bonuses, and don't care how many members they screw in the process.